Ferguson estimates $350 million in annual revenue from six acquisitions, confirms deals completed
Key Facts
Ferguson estimated the combined annualised revenue contribution from its six acquisitions at about $350 million in its earnings announcement on 5 May 2026. The package included businesses in water equipment, wastewater treatment, and heating, ventilation and air conditioning, according to the company and details published by the National Association of Wholesaler-Distributors. At the time of the announcement, Ferguson had completed two deals during the quarter ended in March and another after the end of that period. The other three deals were under definitive purchase agreements, according to the company's earnings statement. The revenue estimate represents the combined annualised revenue of the six businesses, rather than the consideration paid to acquire them. In a subsequent update accompanying results for the quarter ended in June, Ferguson confirmed it had completed the acquisitions that were pending at the time of the original announcement. The acquisition package thus dates back to the May announcement and the subsequent completion update, with its scope spanning residential, commercial and industrial activities.
In the water business, the additions included Technology Sales Associates and Chesapeake Environmental Equipment, according to the National Association of Wholesaler-Distributors' report published on 6 May 2026. The two companies specialise in representing manufacturers of water and wastewater treatment equipment, an area among the capabilities Ferguson sought to expand through the deals. The acquisition completed after the end of the March quarter was Carrier Great Lakes, in the heating, ventilation and air conditioning business. Management said the deals "expand and enhance our capabilities," according to the association's account of the company's comments. Management identified water and wastewater treatment among the areas covered by this expansion. The targeted capabilities also included residential, commercial and applied air conditioning systems, alongside industrial valves. The additions were therefore spread across water equipment, air conditioning solutions and the industrial applications management named in its presentation of the acquisitions.
The earnings statement for the quarter ended in June listed five acquisitions completed during that period, saying: "We completed five acquisitions during the quarter." The list included Carrier Great Lakes, Dealers Supply Company and New England Applied Products, according to Ferguson's disclosure. It also included Hamlett Environmental Technologies and BRD Technologies Group. The company said it invested $573 million in acquisitions during the quarter ended in June 2026. That spending followed a previous fiscal year in which the company continued to acquire other businesses, according to its earnings statement for the year ended in July 2025. During that year, Ferguson invested $301 million in nine acquisitions. The company estimated the annual revenue added by acquisitions in the previous fiscal year at about $300 million.
The May announcement came against a backdrop of growth in Ferguson's sales to $7.5 billion during the quarter ended in March 2026, according to the company's earnings statement. Sales rose 3.6% year on year in that quarter, with differing performance across its U.S. residential and non-residential businesses. U.S. residential revenue fell 1% during the period, according to the same disclosure. By contrast, U.S. non-residential revenue rose 8%, recording growth in the quarter in which residential revenue declined. In a subsequent acquisition development, the company announced the FloWorks deal on 13 July 2026. Reuters reported that Ferguson shares rose more than 2% in early trading on the day that deal was announced. That move was linked to the later FloWorks announcement, which followed the acquisition package announced in May.
The company heads towards its next disclosure after recording sales of $8.8 billion in the quarter ended in June, according to the latest results in its announcement. Sales for that quarter rose 4.6% from the same period a year earlier. Ferguson raised its annual sales growth forecast to the mid-single digits. Its previous forecast had called for low- to mid-single-digit growth, according to the earnings statement for the quarter ended in June. The company set 9 November 2026 as the date for announcing results for the period ended on 30 September 2026.